First off, as a professional loan broker or agent, I would like to remind future readers of this post to remember avoiding fictitious persons offering assume balance car loan. Recently, it has been all over the mainstream media and internet. There are syndicates posing in the car loan industry trying to lure people who are in dire need to avoid a possible repossession of mortgaged cars. These syndicate offers what is called “pasalo” or car loan assume balance. Stay away from offers of the same loan product but will have opt in for car impounding or surrender your car. Note that assume balance car loan is the same as an OR CR loan without taking your car.
Car loan can take different forms in the Philippines. Although I must admit that many Pinoys have the notion that car loan is mostly for those who are interested to buy a car, there is another form of it. Today, I am going to discuss the possibility of getting loan by using the car title or ORCR (official receipt / car registration receipt). In this case, its going to be a car that is owned not personally by anyone but by a company. I will also be extending this discussion to individuals who own a company-financed car who want to use it to file for a loan. Here, the name who is listed as the owner is the company name itself and not the individual. This company owner on the other hand may either be of single proprietorship, partnership or corporate. Let me call this type of car collateral loan as corporate car loan.